The Impact Of Macro And Competitive Business Environments Essay

955 Words Aug 2nd, 2016 4 Pages
Owning a business or managing within a business can be a challenging process and ultimately effect the success, failure and bottom line. There are many external forces or environments that influence decisions that are ultimately made by boards of directors, executives, supervisors and management teams. This can have an economic effect locally or ultimately have a global reach. Today’s focus is on the differences between the macro and competitive business environments (Jones et al., 2006).
Microenvironment
A macro business environment is inclusive all elements that are out of the business’ control that has direct and relative influence on strategic planning and goals. The microenvironment includes current and any changes in local, state, federal and international laws, and regulations. Laws and regulations literally dictate how a business, regardless of its sector, the guidelines of its operations. The state of the economy, consumer market and spending trends are also a major factor in the macro environment equation. The purchasing power of the consumer is vital for any business sector to succeed. In today’s technology driven society, it is utmost importance, that a business is, within the established parameters of technology for their industry, or on the cusp of the cutting edge of technology. If a business has effective and efficient technology, across the board, in force, it can potentially cut costs and drive consumers to them. A business’ demographics can…

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